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A BILL TO BE ENTITLED
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AN ACT
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relating to the jurisdiction of the railroad commission over gas |
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utilities in certain municipalities. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 102.001(a), Utilities Code, is amended |
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to read as follows: |
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(a) The railroad commission has exclusive original |
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jurisdiction over the rates and services of a gas utility: |
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(1) that distributes natural gas or synthetic natural |
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gas in: |
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(A) areas outside a municipality; [and] |
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(B) areas inside a municipality that surrenders |
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its jurisdiction to the railroad commission under Section 103.003; |
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or |
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(C) areas inside a municipality, if the gas |
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utility under Section 103.004 elects to be subject to the railroad |
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commission's jurisdiction; and |
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(2) that transmits, transports, delivers, or sells |
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natural gas or synthetic natural gas to a gas utility that |
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distributes the gas to the public. |
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SECTION 2. Section 103.001, Utilities Code, is amended to |
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read as follows: |
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Sec. 103.001. MUNICIPAL JURISDICTION. To provide fair, |
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just, and reasonable rates and adequate and efficient services, the |
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governing body of a municipality has exclusive original |
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jurisdiction over the rates, operations, and services of a gas |
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utility within the municipality, subject to the limitations imposed |
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by this subtitle, unless: |
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(1) the municipality surrenders its jurisdiction to |
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the railroad commission under Section 103.003; or |
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(2) the gas utility elects under Section 103.004 to be |
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subject to the railroad commission's jurisdiction. |
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SECTION 3. Subchapter A, Chapter 103, Utilities Code, is |
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amended by adding Section 103.004 to read as follows: |
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Sec. 103.004. ELECTION OF RAILROAD COMMISSION |
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JURISDICTION; REINSTATEMENT OF MUNICIPAL JURISDICTION. (a) A gas |
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utility may elect to have the railroad commission exercise |
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exclusive original jurisdiction over the gas utility's rates, |
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operations, and services in a municipality by filing written notice |
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with the railroad commission and the municipality. |
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(b) A gas utility may not elect to have the railroad |
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commission exercise exclusive original jurisdiction while a case |
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involving the municipality is pending. |
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(c) A gas utility that makes an election under Subsection |
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(a) may elect to reinstate the municipality's jurisdiction by |
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filing written notice with the railroad commission and the |
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municipality. |
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(d) This section does not affect a municipality's standing |
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as provided by Section 103.023. |
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SECTION 4. This Act takes effect September 1, 2007. |